Section 196 Appointment of Managing Director Whole Time Director or Manager
Section 196 Appointment of Managing Director Whole Time Director or Manager Section 196 of the Companies Act, 2013 provides that no company shall appoint or employ at the same time a Managing Director and a Manager. Further, a company shall not appoint or reappoint any person as its Managing Director, Whole Time Director or manager for a term exceeding five years at a time and no reappointment shall be made earlier than one year before the expiry of his term. Section 196(4) of the Companies Act, 2013 provides that subject to the provisions of section 197 and Schedule V, a managing director, whole-time director or manager shall be appointed and the terms and conditions of such app ointment and remuneration payable be app roved by the Board of Directors at a meeting which shall be subject to approval by a resolution at the next general meeting of the company and by the Central Government in case such app ointment is at variance to the conditions specified in Schedule V. Approval of the Central Government is not necessary if the appointment
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